Monolithic Power Systems (MPWR)
NASDAQInformation TechnologySemiconductorsSnapshot 2026-09-04
$1223.86+0.84%
Close 2026-09-04 · 1-day change
NASDAQInformation TechnologySemiconductorsSnapshot 2026-09-04
QuarterlyIQ Insights · MPWR
How strong the business is — where it ranks within its sector on capital efficiency and cash generation, and how well management has been executing.
How this business ranks within information technology on a research-validated quality screen. As of 2026-09-04.
The screen ranks MPWR against its sector on four durable signals: share dilution, return on capital, free-cash-flow yield, and FCF margin. Historically the highest-quality names tended toward better typical outcomes and fewer bad years over multi-year holds (strongest at three years, modest at one), and that pattern showed up even before the price moved. It characterizes business quality, not price direction.
Each leg is a sector-relative percentile (higher is better); 3 of 4 legs were available for this name. The composite is built from these four; the raw value follows each percentile for context.
A forward quality tilt, not a price prediction, and context for your own research rather than a recommendation. Not investment advice.
How management runs the business: capital, margins, balance sheet, and how reliably they guide and deliver.
Each factor is a parallel diagnostic with a clear read of what it shows and how names like it have historically fared. Never aggregated into a single score.
Operating income rose in 3 of the last 3 quarter-over-quarter moves. Historically, Information Technology names rated strong grew net income 65% of the time over the next year (vs 52% for the rest of the cohort, n=6360).
Not investment advice. Scores describe historical and current data; they are not forecasts of future returns. Consult a licensed advisor before making investment decisions.
A guidance track record builds as the company issues and delivers on guidance.
Priorities management has stated in recent disclosures, with status and evidence drawn from earnings calls, filings, and press releases.
Achieve quarterly revenue growth with a forecast of $1.14 to $1.16 billion for Q3 2026, expanding capacity beyond $6 billion to support growth.
Stated as a priority in 3 of last 3 quarters. Revenue grew from $804.2M in 2026-Q1 to $980.6M in 2026-Q2, with guidance for $1.14-$1.16B in 2026-Q3. Management extended capacity goal beyond $6B from prior $4B, delivering on growth and capacity expansion commitments.
“We extended our capacity goal significantly beyond $6B to support future revenue growth and our transformation into a full solution provider.”
“MPS continued to grow our capacity past our original $4B plan, with a new goal of reaching $6B in the near future.”
“Business Outlook: Revenue in the range of $770.0 million to $790.0 million.”
Sustain GAAP gross margin within the range of approximately 55.2% to 55.8% to support profitability.
Stated as a priority in 4 of last 4 quarters. GAAP gross margin has been stable around 55.1%-55.3% from 2025-Q3 through 2026-Q2, with guidance for 55.2%-55.8% in 2026-Q3. Management is maintaining gross margin within the targeted range, delivering consistent profitability.
“GAAP gross margin was 55.2%, 0.1 percentage points lower than the first quarter of 2026.”
Manage GAAP operating expenses to stay within $252.7 million to $258.7 million for Q3 2026 to maintain cost discipline.
Stated as a priority in 3 of last 3 quarters. GAAP operating expenses rose from $203.9M in 2026-Q1 to $237.2M in 2026-Q2, with guidance to control expenses within $252.7M-$258.7M in 2026-Q3. Management is maintaining cost discipline with a controlled upward trend in operating expenses.
Raise the quarterly cash dividend to $2.00 per share to enhance shareholder returns.
Stated as a priority in 3 of last 3 quarters. The quarterly cash dividend was increased from $1.56 per share in 2025-Q4 to $2.00 per share in 2026-Q2, reflecting management's commitment to enhancing shareholder returns and delivering on capital allocation.
Increase manufacturing and supply chain capacity significantly to enable future revenue growth and transformation into a full solution provider.
Over the trailing year it converted 1.76x of net income into operating cash flow. Historically, Information Technology names rated neutral grew net income 57% of the time over the next year (vs 52% for the rest of the cohort, n=4162).
Most sensitive to the broad stock market.
Not enough signal to read sensitivity to real (inflation-adjusted) rates, the US dollar, long-term interest rates, Fed net liquidity (low R² over the window).
12 material management or governance events in the past 24 months, led by capital-allocation actions. Historically, Information Technology names rated neutral grew net income 60% of the time over the next year (vs 57% for the rest of the cohort, n=3673).
Not investment advice. As of 2026-09-04.
“GAAP gross margin was 55.3%, 0.1 percentage points higher than the fourth quarter of 2025.”
“GAAP gross margin was 55.2% for the quarter ended December 31, 2025.”
“GAAP gross margin was 55.1% for the quarter ended September 30, 2025.”
“GAAP operating expenses were $237.2 million in the second quarter of 2026.”
“GAAP operating expenses were $203.9 million in the first quarter of 2026.”
“GAAP operating expenses were $214.3 million for the quarter ended December 31, 2025.”
“The Company issued a press release announcing the second quarter cash dividend of $2.00 per share.”
“The first quarter dividend of $2.00 per share will be paid on April 15, 2026.”
“Board of Directors has approved an increase in the quarterly cash dividend from $1.56 per share to $2.00 per share.”